Marketing Strategy for Regional Films India to launch in the U.S. market
Introduction
Regional Films India (RFI) is an Indian regional language movie distributor based out of Mumbai, India. A lot of Indians have immigrated across the globe and especially to the U.S. RFI has been distributing movies in India for long and now wants to expand its services internationally. RFI is looking for opportunities and avenues of launching its products (movies) in the U.S. market initially and then across the globe. RFI will distribute movies in the U.S. market through its U.S. subsidiary and will be ready to launch in the Fall of 2017. RFI plans to enter the U.S. market with Indian regional language movies that will have the lowest barrier to entry. RFI will help to bring the big screen nostalgic experience of regional movies to the Indian Americans in the U.S.
Before creating the marketing plan for RFI, it was important to understand the working of the industry and business as well the U.S. market. The below figure shows the working model of RFI.
RFI deals with B2C as well as B2B clients. Regional movies are produced in India and RFI buys the movies at a fixed fee per screening. In the B2C track, RFI plans the theater screenings in different cities and markets the movie to the consumers. Consumers buy the tickets from different platforms or at the theater and enjoy the movie on the big screen. Theaters retain 40% of the total revenue generated and pass on the remainder to RFI, thus RFI makes money. Part of it is then invested to buy other regional movies as well as market them. In the B2B track, RFI re-sells the movie to different groups for a fixed price and generates revenue from the surplus margin.